One shareholder makes every capital-allocation decision

The Military Industry – Telecommunications Group holds 99.03% of charter capital; the remaining 0.97% is split among over 17 thousand shareholders. Every statement about governance in this document must be read under that constraint.

Source: notes to the Q2/2026 consolidated financial statements[4]; minutes of the 2026 Annual General Meeting of Shareholders[6]; market financial database[5].

The main activity of VGI and its subsidiaries is investing in and operating telecom networks abroad. This point needs stating clearly upfront because it determines how every subsequent figure should be read: VGI does not provide telecom services in Vietnam. All service revenue comes from nine overseas markets; the domestic operation is the parent company, which manages capital, procures, and sells equipment to the market companies.

Fourteen consolidated subsidiaries, two associates, one entity left out

The structure can be mapped in full except for exactly one link: Viettel Cameroon S.A.R.L, an entity that has not filed financial data since 01/11/2018 — and that link is precisely the reason for the qualified audit opinion.

Source: Note 1, Q2/2026 consolidated financial statements[4]. The last two rows are separated by a bold rule because they are recorded under the equity method, not consolidated.

Six and a half years: from accumulated losses of VND 4,680 billion to a VND 10,045 billion dividend

The turning point isn’t a single deal but a 2019 decision — halting new-market expansion — and Mytel starting to repay debt from 2024.

• 28/06/2019Halted new-market investment

  A resolution from the 2018 Annual General Meeting decided to temporarily halt opening new markets in order to focus on consolidating existing ones. This commitment remained in effect as of 30/06/2026 — seven years with no new country added.[4]

• 2020Revenue of about VND 18,962 billion

  The final year of the recovery phase following the 2016–2019 string of losses. The stock rose 35.6% while the VN-Index rose 14.9%.[9][5]

• 2021Merged with Viettel Overseas; parent-shareholder profit still negative

  Net revenue of VND 19,242.0 billion, profit before tax of VND 880.3 billion, but profit attributable to parent shareholders was negative VND 366.6 billion due to a VND 1,838.3 billion loss from associate companies. Completed procedures to prepare Viettel Tanzania for an initial public offering.[1][8]

• 2022Profit after tax up 4.4-fold

  Revenue of VND 23,629.6 billion (+22.8%), profit after tax of VND 1,540.7 billion. The stock fell 38.8% in a year the market fell 32.8%.[1]

• 2023Gross margin touched 50.6% but accumulated losses remained at VND 3,377 billion

  Revenue of VND 28,212.2 billion. Provision expense for the period rose to VND 4,573.1 billion — the highest in the period — keeping profit after tax at VND 1,647.1 billion.[1]

• 2024Wiped out accumulated losses entirely; the stock rose 255.4%

  Profit after tax of VND 7,173.0 billion, 4.4 times the prior year. Retained earnings flipped from negative VND 3,377.3 billion to positive VND 2,284.0 billion. The stock led the market in annual return.[1][5]

• 04/04/2025The Hanoi Stock Exchange maintained warning status

  Reason: the financial statements have received a qualified audit opinion for three or more consecutive years, related to not consolidating Viettel Cameroon.[9]

• 29/09/2025The period’s first cash dividend: VND 750/share

  A 7.5% rate for fiscal year 2024, ex-dividend date 08/09/2025. Total paid to shareholders: VND 2,282.9 billion.[5]

• Aug–Nov 2025Opened three new legal entities

  Metfone Network and Metfone Tower Solutions began operating in August 2025; Nattransfer was established in Haiti on 27/11/2025. On 15/09/2025 the Board of Directors approved the policy of selling equipment to Viettel Cambodia.[4][7]

• 2025Revenue of VND 44,271.4 billion, profit after tax of VND 11,250.6 billion

  The highest in the company’s operating history. Deloitte Vietnam’s audit maintained a qualified opinion on the investment in Viettel Cameroon.[2]

• 05/01/2026No longer meets public-company conditions

  Law No. 56/2024/QH15, effective 01/01/2026, requires a minimum of 10% of voting shares to be held by at least 100 investors who are not major shareholders. The current ratio is under 1%. Public-company status is maintained through the end of 31/12/2026.[7][9]

• 18/03 and 08/04/2026Warning status maintained for another period

  Decision to maintain warning status and notice of securities status; VGI provided an explanation on 29/04/2026.[7]

• 23/04/2026AGM approved a 33% cash dividend

  2026 plan: consolidated revenue of VND 52,561 billion, profit before tax of VND 13,275 billion — down VND 1,901 billion, or 12.5%, from 2025 actuals, due to a forecast FX loss. A 33% dividend equal to VND 10,044.6 billion.[6]

• 24/07/2026Dissolved the Myanmar representative office

  Disclosed in the same period VGI reversed part of the provision for the Mytel loan.[7]

• 30/07/2026H1 profit after tax reached VND 6,333.6 billion

  Up 93.9% year-on-year; equal to 63.7% of the full-year profit-before-tax plan after half the year.[4][3]

Foreign room is zero and no fund appears in the shareholder register

The maximum foreign ownership ratio recorded in the system is 0%; actual foreign investor ownership is 453,812 shares, equal to 0.0149% — a holdover from before the limit was imposed.

The question of which fund holds the largest weight has a short answer: none. The institutional ownership ratio in the system is 99.0276%, matching almost exactly the Viettel Group’s share alone — meaning no other institution reaches the disclosure threshold. The shareholder list outside Viettel consists only of individuals who are Board and Management members, totaling under 0.002% of capital. Checking the portfolio of the largest domestic equity fund also shows no VGI.[5]

Source: market financial database[5]. Color rule: red marks negative values. Net selling occurred in every observed year; the absolute scale is very small relative to market cap because foreign holdings are only 453,812 shares.

VGI has no bonds — all debt is bank borrowing at each market

A review of Notes 23 and 24 of the Q2/2026 consolidated statements shows VND 5,364.6 billion in outstanding debt itemized by bank and by borrowing company; there is no bonds-issued line in any period observed.

^a Includes First National Bank, Access Bank, FDH Bank, Millennium Bim, KCB Bank, Ecobank, VietinBank Hai Ba Trung branch, and Vietcombank Transaction Office. Source: Notes 23 and 24[4].

Full-year 2025 interest expense was only VND 332.0 billion against profit before tax of VND 15,175.6 billion, giving an interest coverage ratio of 46.7×. H1 2026 was 39.8×. Debt due within the next 12 months is VND 2,512.6 billion, against cash and deposits maturing under 12 months of VND 39,793.9 billion — a coverage of 15.8×. On the survivability dimension, VGI’s credit profile shows no stress point.

The balance sheet of a net creditor, with one item that isn’t its own money

Cash and deposits of VND 43,814.0 billion against borrowings of VND 5,364.6 billion give a net cash position of VND 38,449.4 billion; but an additional VND 8,848.2 billion within other current assets is e-wallet customer money, restricted in use and matched by an offsetting liability.

^a The opening balance is restated per Circular 43/2026/TT-BTC, differing from the originally disclosed figure — a reconciliation table appears in the appendix. ^b Includes customer deposit balances at the six e-wallet companies, restricted in use, plus deposits pledged against loans. Color rule: green for an increase in a favorable item, red for a decrease in a favorable item, yellow marks an unusually large movement requiring separate reading. Source: Q2/2026 consolidated financial statements[4].

Equity fell VND 2,644.1 billion in H1 2026 despite VND 6,333.6 billion in profit. The cause is a VND 10,790.9 billion dividend distribution recognized in the period — VND 10,044.6 billion to VGI shareholders and VND 746.3 billion to non-controlling shareholders at subsidiaries — while the cash hadn’t been paid out yet, so it sits in dividends payable. This is the sole reason the 30/06/2026 balance sheet looks weaker than the year’s start on the funding side.

Asset-liability management: the weak point is currency, not maturity

On maturity, the structure carries almost no risk: VND 39,793.9 billion in liquid assets maturing under 12 months offsets VND 2,512.6 billion in debt coming due. Deposit rates disclosed in the notes are 2.0%–6.75% p.a. for terms under 12 months and 6.8%–7.8% p.a. for terms over 12 months.[4]

On currency, it’s different. Revenue is generated in seven local currencies — MZN, HTG, TZS, BIF, KHR, USD, and the Timor-Leste currency — while reporting is in Vietnamese dong. Off-balance-sheet foreign-currency balances as of 30/06/2026 show the scale of exposure: USD 70.64 million, BIF 370,428.3 million, TZS 228,502.9 million, KHR 36,248.7 million, MZN 16,958.4 million, HTG 4,588.0 million. The result is an FX difference line that is always present and always net negative.

Source: Notes 30, 31, and 25[4]. Red for negative values, green for positive; the rule applies to every cell. The last two rows move in opposite directions because they measure different things: the third row is the difference on monetary items, the fourth row is the difference from translating the entire foreign-operation statements into Vietnamese dong.

Management stated at the AGM that the 2026 profit-before-tax plan’s 12.5% decline from 2025 actuals is mainly due to FX movements, and the 7% revenue growth target already accounts for this impact — excluding the FX factor, service revenue growth is still expected to be double-digit.[6]

Inventory: a sign of the new equipment line

Source: Note 9[4]. Red for negative values.

Average days inventory outstanding rose from 56.5 days in 2024 to 67.3 days in 2025 — a direct result of the new equipment line. In offset, the cash conversion cycle shortened from 40.2 days to 21.7 days, as days sales outstanding fell from 66.1 to 50.7 and days payables outstanding stretched from 82.4 to 96.3. The company is funding inventory with supplier credit rather than its own capital. A provision ratio of 63.6% on merchandise shows the aged equipment has been treated conservatively.

Charter capital hasn’t changed by a single dong, shareholders waited until 2025 to get paid

The entire VND 11,559.6 billion equity increase from end-2021 to 30/06/2026 came from retained earnings, not from any issuance; and the first cash flow back to shareholders was in September 2025.

Other equity reserves aren’t shown separately, at VND 174.8–177.7 billion over 2024–2026. Color rule: red for negative, green for positive on the two rows that can flip sign; applied to every qualifying cell. Source: consolidated financial statements[1][4].

Two lines flipping sign at roughly the same time tell one story: retained earnings crossed zero in 2024, non-controlling interests crossed zero from 2023. Before that, the whole group carried accumulated losses, and under current law the parent company may not distribute beyond undistributed profit after tax on the consolidated statements — so VGI’s lack of dividends throughout 2020–2024 was a mandatory consequence, not a choice to retain cash.

The cash-dividends-paid column is taken from the consolidated cash flow statement, including subsidiary dividends paid to host-country non-controlling shareholders. Yellow marks an obligation that has arisen but not yet converted into a cash outflow. Source: consolidated financial statements[1][4]; shareholder record-date notice[5].

A notable technical difference: profit after tax on the standalone Q2/2026 statements reached VND 4,083 billion, higher than the consolidated profit of VND 4,005 billion. The cause is that the parent company records dividend income from subsidiaries — eliminated on consolidation. Full-year 2025 standalone profit was VND 6,703 billion, up 212%, due to a VND 2,634 billion reduction in provision expense and a VND 1,716 billion increase in dividend income.[2][3] This is the figure that determines actual dividend-paying capacity, since the payout source sits at the parent company.

Source: Note 37[4]. Not color-coded, as the table doesn’t encode a good/bad status. The 23/04/2026 AGM approved the proposal to authorize contracts and related-party transactions for 2026–2027; Viettel Group did not vote on this item, and 875,937 shares of the remaining shareholders approved, equal to 99.87%.[6]

No market share in Vietnam, and only one source speaks to overseas market share

VGI doesn’t provide telecom services domestically, so the Vietnam-market-share question doesn’t apply. For the nine overseas markets, every market-share figure in the record comes from the company itself, with no independent source to cross-check — so this section is kept at a labeled descriptive level.

The sole statement on position comes from the 23/04/2026 AGM: Viettel ranks number one by market share in seven markets. Management simultaneously acknowledged that Mytel in Myanmar and Halotel in Tanzania — the two most populous markets — haven’t reached over 50% market share, and described reaching that level as a very challenging goal given competition from many providers.[6] This document could not trace per-market share data from the host countries’ telecom regulators, so this is the lowest-confidence point in the entire dossier.

The company notes explicitly in its filing footnote that growth rates are calculated on revenue in local currency per the market companies’ own financial statements. Therefore these rates don’t sum to the consolidated VND revenue growth — the difference is exactly the FX impact. The background bar reads relative scale within the same column. Green for positive growth; applied to every qualifying cell. Source: 2025[2] and Q2/2026[3] earnings explanation filings.

The growth pattern shows a clear rule: African and Latin American markets grew 19%–40%, while the two Southeast Asian markets, Cambodia and Timor-Leste, grew only 7%. Management confirmed this pattern in the 2026 plan — Asian markets growing more slowly, Africa and the Americas remaining the growth drivers at over 20%.[6] Read alongside the geographic-segment data in Figure 5, two independent sources within the same record set agree.

What creates the advantage, in the company’s own words

Three factors were cited at the AGM: infrastructure investment ahead of demand; execution capability rooted in people; and reasonably priced products.[6] This is a self-description, not an analytical conclusion. What can be verified from the financial statements is the first proposition: construction-in-progress rose 59.4% in H1 2026 to VND 3,162.2 billion, and net fixed assets rose 18.7% to VND 19,028.0 billion — investment capital is being pushed into the network ahead of the corresponding revenue appearing.

The next direction was also disclosed: a target for non-telecom profit of 15% for 2026–2030 and 17%–25% in subsequent years; logistics services already deployed in Laos, expected to expand into Myanmar and Cambodia in 2026; and research underway into artificial intelligence and solar energy.[6] Meanwhile, the 2019 commitment to halt new-market expansion remains in effect — meaning growth must come from deepening the nine existing markets, not from expanding breadth.

The market is paying 21.7 times earnings for a stock with only 0.97% free float

A market cap of VND 267,855 billion is set by a free float worth VND 2,605 billion — a 103-fold ratio between the value being priced and the value that’s actually tradable.

What the market is assuming

The 2026 plan approved by shareholders calls for profit before tax of VND 13,275 billion, down 12.5% from 2025. If the H1 2026 ratio of parent-shareholder profit to profit before tax — 62.3% — holds, the plan implies parent-shareholder profit of about VND 8,265 billion, meaning earnings per share of VND 2,715 and a P/E of 32.4× at the VND 88,000 price.

But H1 already achieved VND 8,453.2 billion in profit before tax, 63.7% of the full-year plan. If H2 matches H1, full-year parent-shareholder profit would be about VND 10,525 billion, EPS VND 3,458, and P/E 25.4×. The gap between the two figures — 32.4 and 25.4 — is exactly the plan-beating room the market may be pricing in.

The VND 3,300 dividend per share corresponds to a 3.75% yield at the current price. This is a VND 10,044.6 billion payment already recorded as a liability but not yet converted to cash as of 30/06/2026 — the largest cash-flow event ahead for the company.

On liquidity: one-month average matched volume is 341,380 shares per session, valued at VND 28.7 billion — equal to 1.10% of the free float per session. This turnover is very high for a VND 267,855 billion market-cap stock, and it means the price is set by a small group of buyers and sellers rather than by broad-market pricing. Foreign investors were net sellers in every year observed, cumulatively VND 129.9 billion, but this scale is too small to carry a signal.

The data contains no analyst recommendation or target price for VGI. Combined with the two stop conditions in §12, this document stops at describing market assumptions and offers no conclusion about the price level.

Two stop conditions, and what was checked but not triggered

What blocks a conclusion is not business performance but the quality of the record set containing it — and that cannot be offset by a good-looking margin.

Yellow marks a condition currently triggered or needing attention; green marks a condition checked and not triggered. Applied to every row.

How VGI treats the Cameroon investment is stated clearly: the company applies point b, Article 10 of Circular 202/2014/TT-BTC to reclassify the investment from subsidiary to other long-term investment, because by the audit report issuance date, VCR had not provided over 12 months of financial data needed for consolidation under the regulation.[2] The treatment has a regulatory basis; but the qualified opinion persists because the audit cannot confirm what has happened inside an entity that VGI still owns and is still guaranteeing debt for.

Public-company status: the missing 9%

Law No. 56/2024/QH15, effective from 01/01/2026, requires a minimum of 10% of voting shares held by at least 100 investors who are not major shareholders. VGI currently has under 1%, short by about 9 percentage points. The company states it is conducting a valuation, working with an advisory firm to develop a public share offering plan, and coordinating with the Group and regulators.[6] Public-company status is maintained through the end of 31/12/2026.

If the offering plan materializes, it would simultaneously solve three problems: meeting the public-company condition, expanding the free float, and creating a basis for funds to consider the stock. But 9% of charter capital at the current price is about VND 24,100 billion — a very large offering, and the disclosure gives no timing or form. This is the single most important governance variable over the next 12 months.

That is the single most important sentence in the entire 2026 record. It confirms that a meaningful share of future profit is a conditional accounting decision, not an operating result — and that condition sits in Myanmar, outside VGI’s control.

Appendix